Mid-Year Advocate Training PackageJanuary 2014

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Purpose Duties/Responsibilities Resources Officers Desk Reference Member Social Communications Policy EIN Numbers Secretary of State Registration Trademark Protection Home Association Issues

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Provide council advocates with resources and tools to be successful as council’s parliamentarian and “legal” representative

Highlight Social Communications Policy Advise of registration requirements for not-for-

profit organizations Discuss protections of K of C identity and

trademarks

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Council Parliamentarian ◦ “Expert” in parliamentary procedure/rules◦ “Thoroughly” familiar with laws of the Order◦ “Thoroughly” familiar with council By-Laws

Chair of Revision Committee◦ Facilitate keeping meetings on track

Working knowledge of Roberts Rules of Order “Methods of Conducting a Council Meeting” (#1937)

◦ Trial of council members, if necessary Prosecute the charges on behalf of the council

Don’t need to be a lawyer Seek assistance from State Advocate when

needed

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Supreme Charter, Constitution and Laws Roberts Rules of Order Supreme Council Flyer, “Methods of Conducting

a Council Meeting” (#1937) Council By-Laws Supreme Council Officers’ Desk Reference State Advocate

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Definitive guidance from Supreme Advocate’s office ◦ Governance of State & local councils/assemblies

Various key subjects; top issues◦ Desk reference conforms to Laws & Rules of

Order Can use in correspondence

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Aid for those charged with governance Can’t be used for any other purpose Can’t be disclosed/circulated other than KofC

fraternal business Not legal advice to secure rights or remedies

under civil law Does not create affirmative rights or causes

of action at law or equity Does not impose obligations/liabilities upon

Supreme Council or any subordinate council/assembly

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Organized into following major sections:◦ Principles of Fraternalism◦ Fraternal Programs◦ Membership Issues◦ Council & Assembly Issues◦ Fourth Degree (not a part of your duties)◦ Name and Emblem◦ Tax Issues◦ Financial Issues◦ Social Communications◦ Political Issues◦ Home Corporations

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This policy guides members and subordinate units of the Supreme Council of the Knights of Columbus in their use of social communications. This policy applies to subordinate units, members holding office, and members of the Knights of Columbus in their use social communications when a member chooses to identify his association with the Knights of Columbus or to discuss the work of the Knights of Columbus.

"Social communications” includes, but is not limited to, mobile communications, including text messaging, the internet, the World Wide Web, and social media. Social media includes social networking sites such as Facebook and Linked-In, video and photo sharing sites such as Flickr and YouTube, micro-blogging sites such as Twitter, weblogs, forums, and discussion boards such as Yahoo! and Google Groups, online encyclopedias such as Wikipedia, as well as all websites and/or platforms that allow users to publish user-generated content.

Remember that the Laws of the Knights of Columbus apply to social communications.

Be polite and respectful of others’ opinions, especially when you find yourself in disagreement, and even in times of heated discussion and debate.

Think before you post! The reputation of the Knights of Columbus as well as your own reputation depends upon you conducting yourself as a Catholic Gentleman, both online and offline. What you post is forever. Do not share something online that you might later regret or would otherwise not want the entire world to know. Ask yourself: “Am I pleasing God by posting this?”, “Would I want my mother to see this?”, or “Would I want to read about this on the front page of the morning paper?”

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https://irs-ein-number.com http://www.irs.gov/Businesses/Small-Busine

sses-&-Self-Employed/How-to-Apply-for-an-EIN

Form Number SS-4 Application for Employer Identification EIN ( Rev. January 2010) (For use by

employers, corporations, partnerships, trusts, estates, churches, government agencies, Indian tribal entities, certain individuals, and others.)

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Registering a Trade name for a non-reporting Entity

 1. Go to Colorado SoS website, www.sos.state.co.us/

2. Click Businesses, Trademarks, Trade Names

3. Click File a Business Document 4. Click File a form to create a new record 5. Click Trade Name (under LLCs,

Corporations & Trade Names) 6. Click A Non-Reporting entity (fill out form) 7. Such non-reporting entity is a general

partnership? Answer NO 8. Skip entering an individual name 9. Type True Name: should be: KNIGHTS OF

COLUMBUS Council#(use your assigned council number; use word assembly and your number if registering as an assembly)

10. Form block: Click the arrow and select Unincorporated non-profit Association

10(a) Click Colorado for the jurisdiction block

10(b) Enter the mailing address of the council/assembly

10(c) Reenter the trade name exactly as you did earlier

10(d) Enter Brief description of kind of business transacts: USE THIS WORDING: Operates as an unincorporated Association under IRC 501(c)(8)

11. Skip the delayed effective date block 12. This document contains additional

information as provided by law; ANSWER NO 13. Enter the email address of the FS or

officer causing the application to be filed 14. Under the Notice Section enter name of

the individual filing the form 15. Pay the $20 fee 16. Print the Summary Page; this will be the

document used to prove to the bank compliance with the law.

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The emblem of the Knights of Columbus, Knights of Columbus, and K of C are registered trademarks of the Knights of Columbus

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Third-party renters of home corporation facilities misuse and abuse the trademarked name and emblem of Knights of Columbus to promote their events

Renters sometimes give the home corporations’ facility managers misleading or deceptive reasons for renting home corporation facilities

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Managers responsible for renting home corporation facilities have the serious responsibility to ensure that prospective renters are carefully vetted.

Renter must be strictly prohibited from using the trademarked name and/or emblem of the Knights of Columbus in connection with use of home corporation facilities.

Brother Knights are responsible for protecting the good name, reputation, mission, identity, and all trademarks of the Knights of Columbus.

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Forms 990’s. Review the 990 requirements via the www.irs.gov website to ensure you are filing the appropriate 990, 990EZ, 990-N e-postcard based on their gross receipts and circumstances. The legal effect of not having exempt status is that you are no longer exempt from federal income tax and may be required to file Form 1120 US Corporation Income Tax Return and pay associated taxes. To be reinstated as a 501(c)(8) tax exempt organization, the council/assembly must complete a re-instatement package. To request a package, contact the Supreme Advocate’s Office, 203-752-4362.

The Knights of Columbus is a fraternal benefit society, recognized by the IRS as a tax-exempt organization under Section 501(c)(8) of the Internal Revenue Code (IRC). The IRS recognizes all councils in the United States as “fraternal lodges.” To claim an exemption from federal income tax under Section 501(c)(8), each council must (1) obtain its own Employer Identification Number (EIN) from the IRS and submit its own tax return; and (2) provide its EIN and written authorization to the Office of the Supreme Advocate in order for it to be recognized under the Order’s group exemption.

501(c) (8) exempt entities, local councils, assemblies and chapters may not, under any circumstances, establish a 501(c) (3) tax-exempt charitable corporation or charitable foundation. Donations to councils, assemblies and chapters for fraternal or social purposes are never deductible and most donations for charitable purposes are not deductible. If a council, assembly or chapter wishes to host an event where they would like individual donations to be tax deductible, they should contact the State Advocate to discuss potential options well in advance of the proposed event/activity.

Colorado Secretary of State (SoS) Registration: Councils and assemblies are to register as a Trade Name for a Non-Reporting entity. All new councils and assemblies will need to do so in order to obtain a bank account. Existing councils and assemblies will not need to do so unless your bank requires you to provide a certificate of good standing to do business There is a $20 fee associated with this requirement.

Liability Insurance. Each diocese in Colorado requires liability insurance for use of their facilities. Each diocese has the same requirements: $1,000,000 per occurrence/$2,000,000 aggregate of commercial general liability to include $1,000,000 host liquor liability and the diocese and the parish must be named as additional insured. The Supreme Council has made arrangement with R.C. Knox & Company for a commercial general liability insurance program that is available to all councils in the United States.

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Advocate

Council

Chris Foley

State Advocate

Colorado State Council

Knights of Columbus

As of: 7 Jan 14

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Purpose Duties/Responsibilities Available Resources Supreme Desk Reference Miscellaneous Items Summary/Thoughts/Questions

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Provide council advocates with resources and tools to be successful as council’s parliamentarian and “legal” representative

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Council Parliamentarian ◦ “Expert” in parliamentary procedure/rules◦ “Thoroughly” familiar with laws of the Order◦ “Thoroughly” familiar with council By-Laws

Chair of Revision Committee◦ Facilitate keeping meetings on track

Working knowledge of Roberts Rules of Order “Methods of Conducting a Council Meeting” (#1937)

◦ Trial of council members, if necessary Prosecute the charges on behalf of the council

Don’t need to be a lawyer Seek assistance from state advocate when

needed

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Supreme Charter, Constitution and Laws Roberts Rules of Order Supreme Council Flyer, “Methods of Conducting

a Council Meeting” (#1937) Council By-Laws Supreme Council Officers’ Desk Reference State Advocate

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Definitive guidance from Supreme Advocate’s office ◦ Governance of State & local councils/assemblies

Various key subjects; top issues◦ Desk reference conforms to Laws & Rules of

Order Can use in correspondence

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Aid for those charged with governance Can’t be used for any other purpose Can’t be disclosed/circulated other than KofC

fraternal business Not legal advice to secure rights or remedies

under civil law Does not create affirmative rights or causes

of action at law or equity Does not impose obligations/liabilities upon

Supreme Council or any subordinate council/assembly

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Organized into following major sections:◦ Principles of Fraternalism◦ Fraternal Programs◦ Membership Issues◦ Council & Assembly Issues◦ Fourth Degree (not a part of your duties)◦ Name and Emblem◦ Tax Issues◦ Financial Issues◦ Social Communications◦ Political Issues◦ Home Corporations

Review of some key sections, sub-sections, issues

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Sub-Sections:◦ State & Local Leadership◦ Subsidarity

Order governed under this principal Cornerstone of Catholic Social Teaching Matters addressed best by those closest to

issue/situation◦ Charity, Unity & Fraternity

Inform the exercise of officers authority Presupposes that Knights as catholic gentlemen follow

these principles

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Sub-Sections:◦ Speak Charitably

Measured/respectful dialouge Caution against imputing bad motives to a speaker

◦ Fraternal Correction “If your brother sins against you, go and tell him his fault

between you and him alone. If he listens to you, you have won over your brother.” (Matt 18:15)

Best method of dispute resolution Leverages Charity, Unity, Fraternity

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Sub-Sections:◦ Due Process

Members treated fairly & manner consistent with Order’s Laws

Notice & opportunity to be heard Fraternal correction first; disciplinary action last resort

◦ Addressing Fraternal Issues as a Knight of Columbus Reality: may have to deal with issues of misconduct Fraternal correction & subsidarity FIRST

Officer, chaplain, friend—best first approach Local Council next

Officers calming influence; avoid rush to & rash judgments

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Sub-Sections:◦ American Wheelchair Mission◦ Special Olympics◦ Habitat for Humanity◦ Ultrasound Initiative◦ One Nation Under God Flag Day Program◦ Refund Support Vocations Program (RSVP)◦ Youth Leader Background Checks

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Sub-Sections:◦ Membership Requirements/Practical Catholicity◦ Honorary Membership◦ Deacons◦ Procedure for Trial by Local Council◦ Appeals Process◦ Petition for Reinstatement◦ Summary Suspension of a Member◦ Conviction of Felony Offense

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Sub-Sections:◦ By-Laws on-line◦ Insurance◦ Prayer at Council Meetings◦ Records Retention Policy◦ Ladies Auxiliaries◦ Membership in more than One Council◦ Suspension of a Council◦ Alcoholic Beverages◦ Resolutions◦ Amendments to State Council Bylaws◦ Guidelines for Charitable Fundraisers

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Sub-Sections:◦ Jewels◦ Local Election Guidelines◦ Office Run in Adjacent State◦ Interstate Solicitations

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Sub-Sections:◦ General Policy◦ Requests for Use of Name and Emblem◦ Use of Name & emblem on Goods & Services

Permission from Supreme Board of Directors through the State Deputy required

◦ Promotion of Other Insurance & Financial Products PROHIBITED Council publications prohibited from accepting

advertisements related to sale of commercial life insurance

◦ Use to Promote Fundraising◦ Use to Promote Associations/Political Candidates

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Sub-Sections:◦ Section 501(c)(8) vice 501(c)(3)◦ Reinstatement of Tax-Exempt Status◦ Annual Tax Returns◦ Frequently Asked Questions (FAQs)◦ Maintaining Tax Files◦ Pass Through Charitable Fundraising◦ Exempt Corporations/Foundations

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Sub-Sections:◦ Are we exempt from sales taxes

No since we are a 501(c)(8) entity vice 501(c)(3) ◦ Can donors claim deductions

No—donations to councils/assemblies for social purposes never deductible Most donations for charitable purposes are not deductible

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Sub-Sections:◦ Audit Requirements/Guidelines◦ Officer use of Debit & Credit Cards◦ Financial Secretary IRS Reporting Requirements◦ Guidelines for Charitable Donations◦ Financial Officer Bonding Program◦ Disbursement of Council/Assembly Funds◦ Guidelines for Charitable Fundraisers◦ Investments

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Sub-Sections:◦ Media Inquiries◦ Member Social Communications Policy & Guidelines

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Sub-Sections:◦ Catholic Citizenship and Public Policy◦ Guidelines for Political Activities◦ Prohibition on use of Membership to Promote

Candidates

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Sub-Sections:◦ Home Corporations Overview

Purchase or own property Legally distinct from Supreme, state and local councils Membership restricted to council members in good

standing Maintain separate records & bank accounts

◦ Rental of Facilities owned by Home Corporations◦ Taxation

HC not subordinate units of KofC Not exempt under group ruling Obtain own tax ID number; file own tax returns

Must have own Employer Identification Number (EIN)

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Colorado Secretary of State Requirements◦ Register a Trade Name

Desk Reference---Supreme Council Web Site

www.kofc.org Officers On-Line Need user name & password; sent from Supreme If don’t receive /or lost call 1-800-380-9995

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Advocate

Council